Investing.com - Dow component Wal-Mart Stores Inc (NYSE:WMT) reported better than expected first quarter earnings ahead of Thursday’s opening bell, sending its shares almost 8% higher in pre-market trade.
U.S. retail giant Wal-Mart said earnings per share came in at 98 cents, above expectations for earnings of 88 cents per share and compared to earnings of $1.03 in the same period a year earlier.
The company’s first quarter revenue totaled $115.9 billion, beating forecasts for revenue of $113.22 billion and up from sales of $114.83 billion in the first quarter of the previous year. On a constant currency basis, total revenue was $119.4 billion, an increase of 4.0%.
Net sales at Walmart International reached $28.1 billion. Excluding currency, net sales were $31.6 billion, an increase of 4.3%, and operating income increased 22%.
Walmart U.S. delivered positive comp sales for the seventh consecutive quarter, up 1.0%, driven by the sixth consecutive quarter of positive traffic, up 1.5%. Neighborhood Market comp sales increased approximately 7.1%. Customer experience scores continued to improve.
Globally, on a constant currency basis, e-commerce sales and GMV increased 7.0% and 7.5%, respectively.
Following the release of the report, Wal-Mart shares rose 7.7%, or $4.86, in pre-market trade to $68.00 from Wednesday's closing price of $63.14.
Meanwhile, the outlook for U.S. equity markets was downbeat. The Dow futures pointed to a drop 31 points, or 0.18%, at the open, the S&P 500 futures indicated a decline 5 points, or 0.22%, while the Nasdaq 100 futures declined 11 points, or 0.25%.